Loan Relief Maintenance
Overview of IL428
Loans typically undergo an adjustment process to periodically determine new payment amounts and/or interest rates. These adjustments are usually created by Adjustable Mortgage Processing (IL448), which often runs at regular intervals as part of an organization’s job processing. When IL448 runs, it automatically creates a loan “relief” record in Loan Relief Maintenance. You can also create a manual loan relief record or alter an automated loan relief record by hand, if necessary.
The purpose of a loan relief record is to schedule a change to a loan payment amount, interest rate, or other loan criteria to take place on a specific future date. When such a change is to occur, you may not want it to take effect immediately due to the potential impact on prepaid/past-due calculations. Scheduling loan relief allows your organization to notify borrowers before the change takes place. They can then adjust their remittances so that prepaid/past-due amounts are not created unintentionally. Loan Relief Processing (IL654) creates the actual change transactions. To create a loan relief record:
- From the DDI Connect main menu, double-click Financial Services
- Double-click Financial Inquiry
- In the loan field, enter the loan number you wish to work with. You can also click the list icon to display a list of all loans in the system
- From the Detailed Loan Inquiry screen, click View and select Loan Relief Maintenance. You will see a screen similar to this one:
The following information is available on this screen:
| Field | Description |
|---|---|
| Account | Account ID and name/address information of the borrower |
| Remitter | If applicable, Account ID and name/address information of the remitter for the loan |
| Loan Num | ID of the selected loan record |
| Change date | Date when the loan-relief record will take effect.
Note: If Loan Relief Processing (IL654) is run for this date or a later date, it will create a change transaction for this loan |
| Interest rate | New interest rate for the loan, if applicable. Defaults to the current interest rate |
| Loan status | New status for the loan, if applicable. Defaults to the current loan status |
| Regular payment | New regular payment for the loan, if applicable. Defaults to the current regular payment |
| Regular payment | New frequency for the loan’s regular payments, if applicable. Defaults to the current frequency |
| Special payment | New special payment for the loan, if applicable. Defaults to the current special payment |
| Special payment | New frequency for the loan’s special payments, if applicable. Defaults to the current frequency |
| Reserve payment | New reserve payment for the loan, if applicable. Defaults to the current reserve payment. Frequency matches the regular payment frequency |
| Past due | New past-due balance for the loan, if applicable. Defaults to the current past-due balance |
| Create date | Date of creation of the loan-relief record. Display only. Defaults to the current business date |
| Relief num | ID number of the loan-relief record. Display only |
| Tran num | ID number of the transaction created when the loan-relief record updates the actual loan record. Display only |
| User | User ID of the individual who created the loan-relief record. This may be the person who entered the record manually or the person who ran Adjustable Mortgage Processing (IL448) to produce it in an automated fashion |
| Memo | Free-form field accommodating alphanumeric information about this loan-relief record |
To add a new record on this screen, click the Add button on the toolbar. The screens available for entry will now enable:
When you have finished entering the record, click Save. The screen will now update:
If you need to modify a record, click it once to highlight and then click the Edit button on the toolbar. You can also double-click the line item to activate the fields for editing.
When you have finished adding/updating the information, click Exit to return to the Detailed Loan Inquiry screen.
